368 Public Administration in Southeast Asia

18.3.2.2 Administrative and Political Issues

18.3.2.2.1 Central and Sub-National Role in Devolution

The implementation of the LGC saw problems in the capacities of not only the sub-national governments, but also the central government agencies affected by devolution vis-à-vis their vertical functional relationships. Moreover, major devolved functions and personnel experience suffered severe inadequacy of financing their “true cost.” The passage of legislations and the assignment of functions and responsibilities to sub-national governments also continues without the benefit of assigning fiscal resources or the so-called “unfunded mandates.” Certain regulatory powers (e.g., environment laws) that have been transferred to sub-national government remain contested between central government and LGUs. On the other hand, important functions, which are not mandatory, remain neglected by local governments, such as the delivery of agricultural extension services.

18.3.2.2.2 Political Capture of some Local Officials by the Central Leadership

Local officials do not necessarily enjoy political autonomy from national government leadership. A huge chunk of the national budget is channeled through the legislators (senators and congressmen) as “pork barrel”—the countrywide development fund (DF) or now the priority development assistance fund (PDAF). This diminishes the development function of decentralization, which is further used to maintain political patronage and the loyalty of LCEs to central leadership.

18.3.2.2.3 High Budget for Personnel at the Local Level

A significant portion of local government budgets is allocated for personnel due to temporary/ casual employees as political accommodations by local officials—LCEs and members of the local councils. The LGC has not been able to professionalize the local bureaucracy, which has been a neglected area of concern since its implementation. The utilization of budgets for development functions remains low.

18.3.2.2.4 Political Capture by the Elite

The danger of political capture by the powerful elite in some areas—individuals and strong political families—also holds true in the Philippines. There has been a long history of patronage politics, and the proliferation of political dynasties persists from local to central governments. Money politics are rampant at the local level; local politics and elections have been plagued by “vote buying” for individual candidates and their political parties—local to central. Local elections seem to have failed the people to make erring government officials be accountable by ousting them from their elective positions. Sometimes they are rewarded with longer terms in their political posts; some even go up the ladder and win national elective positions.

18.3.2.2.5Policy Change for a Better Decentralization Policy is a Major Challenge

The central leadership and members of the legislature benefit from the present institutional policy of decentralization, in terms of pursuing their political interests—holding on to power, and in most cases, pursuit of personal gains.

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